Let’s talk about credit scores and money management for a moment… I have my money in 3 banks. 1st acct. opened for me at birth 45’ish yrs ago, 2nd opened in 1997, 3rd joint acct w/ partner in 2014. I also have 6 credit cards with no outstanding balances (pay down to $0 every month). This is a lot of accounts to manage. I’d like to close one bank account and 3 credit cards (RE the cards I’m closing 1 is amongst my oldest, 2 aren’t).
Will closing these bank + credit card accounts hurt my credit in any way?
Chat GPT says, “Closing a bank account generally doesn't impact your credit score. However, closing credit cards might affect your credit score. If the cards you're considering closing are among your oldest accounts, it could potentially reduce the average age of your credit history, impacting your score. Additionally, closing credit cards may affect your credit utilization ratio. If the total credit limit decreases while your balances remain the same, it could increase your utilization, potentially impacting your score negatively. Evaluate the potential consequences based on your individual credit profile before deciding to close any accounts.”
Thoughts? Agree/disagree with Chat GPT? Experiences to share?I’m all ears
Will closing these bank + credit card accounts hurt my credit in any way?
Chat GPT says, “Closing a bank account generally doesn't impact your credit score. However, closing credit cards might affect your credit score. If the cards you're considering closing are among your oldest accounts, it could potentially reduce the average age of your credit history, impacting your score. Additionally, closing credit cards may affect your credit utilization ratio. If the total credit limit decreases while your balances remain the same, it could increase your utilization, potentially impacting your score negatively. Evaluate the potential consequences based on your individual credit profile before deciding to close any accounts.”
Thoughts? Agree/disagree with Chat GPT? Experiences to share?I’m all ears